ISA

The Israel Securities Authority (ISA) is the primary regulatory authority overseeing the financial markets in Israel. Established in 1968, the ISA has played a crucial role in ensuring the stability and integrity of the country’s financial sector.

ISA History

The ISA was established in 1968 following the enactment of the Securities Law, which aimed to regulate the securities market in Israel and provide comprehensive oversight of the financial markets. Over the years, the ISA has played a significant role in developing and implementing policies that promote transparency, efficiency, and investor protection in the Israeli financial sector.

ISA Scope and Supervision

The primary objective of the ISA is to maintain the stability and integrity of the financial sector in Israel. Its wide-ranging responsibilities include:

1. Licensing and regulating securities market participants: The ISA oversees various market participants, such as investment advisors, investment managers, mutual fund managers, and brokerage firms, ensuring they adhere to strict regulations and maintain market stability.
2. Supervising the securities markets: The ISA is responsible for regulating and supervising the securities markets in Israel, ensuring proper disclosure, transparency, and fair trading practices.
3. Implementing anti-money laundering and counter-terrorism financing measures: The ISA enforces compliance with anti-money laundering (AML) and counter-terrorism financing (CTF) regulations to maintain the integrity of the financial system.
4. Protecting consumers and investors: The ISA works to safeguard the interests of consumers and investors by enforcing regulations, promoting transparency, and raising awareness of potential risks.

ISA Investor Compensation Guarantees

Israel does not have a specific investor compensation scheme or guarantee. However, the ISA ensures that financial institutions and market participants adhere to high standards of financial reporting, risk management, and solvency. This approach helps to minimize the risk of financial institution failures and protect the interests of investors and consumers.

Organization Type

The ISA is an independent statutory body that operates under the jurisdiction of the Israeli Ministry of Finance. Its independent status allows the ISA to make impartial decisions in the best interest of the financial markets and investors. The ISA is governed by a board of commissioners, which is responsible for setting the strategic direction and ensuring effective oversight of the organization’s operations. The day-to-day operations of the ISA are managed by its Chairman, who is supported by a team of specialists and experts.